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HomeMy WebLinkAbout[09a] BFA Grant Program Modification. ~.~, CITY OF ST. JOSFpH ~~~~o+~ c~tyo(sgoseph com Administrator Judy Weyrens Mayor Date: April 1, 2009 Al Rassier Memo To: Honorable Mayor Rassier Councilors Members of the City Council Steve Frank City Administrator Weyrens Bob Loso Renee symaniet,z Memo From: Cynthia Smith-Strack, MDG, Inc. Dale Wick RE: BFA Grant Program Modification Background: As you are aware, the EDA has established a Business Facade Architecture Grant Program (BFA Grant) in 2007, effective 2008. The City Council authorized the program in 2007. The program launched in 2008 with funding for up to five pilot projects. The BFA program offers business owners a matching grant of up to $1,000 for architectural design services when planning exterior building or landscape improvements. At this time the BFA grant can only reimburse program participants for 50% of actual architectural design costs up to a maximum of $1,000. Design fees for several projects have not reached that level. As a result project participants and EDA Board Members have expressed interest in modifying the program guidelines to accommodate actual construction costs. Following is the list of accepted 2008 grant projects and current status: 1. Daisy a Day Floral. Approved did not request reimbursement. 2. Gohman Construction. Approved, reimbursement granted. 3. Bo Diddleys. Approved, paid expenses for line drawings from Matthew Hall Lumber. 4. Kurt Schneider -Concrete Plus. Approved, has not moved forward. Is still interested, especially if grant is modified. 5. Randy Schmitz, Scenic Specialties. Approved, has not moved forward. Very interested, especially if grant is modified. If approved, modification of the BFA guidelines could be retroactive and allow program participants Concrete Plus and Scenic Specialties to proceed with projects. The EDA is not proposing new or additional funding as the Board is aware the City Council is anticipating a freeze on new capital improvement project spending due to reductions in local government aid. Attached please find the current program guidelines with potential modification highlighted in yellow and bold text face. Request: Consideration of project guideline modification is kindly requested. If supportive, a MOTION to approve guideline modification would be in order. ST. JOSEPH BUSINESS DISTRICT FACADE ARCHITECTURAL DESIGN GRANT PROGRAM PURPOSE The St. Joseph Business District Fagade Architectural Design Grant Program provides incentives to stimulate visible reinvestment in St. Joseph businesses. Property owners are encouraged to consider improvements that incorporate the surrounding community including but not limited to aesthetics, environment, cultural & historic elements and architecture. These improvements should create a cohesive, inviting environment. The program provides a matching grant for actual design and construction costs, up to $1,000 per property address. Qualifying projects must be of an approved design, be applied for by commercial property owners and/or merchants, and be applicable to exterior building and landscape improvements. Approved projects will be funded on afirst-come/first-served basis until all funds are expended. In addition, the opportunity exists that the St. Joseph Economic Development Authority's revolving loan program could be available to assist with construction costs associated with the implementation of facade designs. ELIGIBILITY 1. All work must be done on the exterior of the building/property and result in a publicly visible improvement. 2. All work done must be in accordance with the City of St. Joseph Code of Ordinances, the Downtown Revitalization Plan and subsequent design guidelines, and the building code. All required permits must be obtained. Work shall include the correction of any known exterior building code violations. 3. Work in progress or performed prior to project approval will not be eligible for funding. 4. Funds may be used for the design of exterior building improvements, awnings, windows, doors and/or site landscaping resulting in a publicly visible improvement and for actual construction costs related to an approved improvement. Other uses may also be eligible if prior approval is granted by the St. Joseph Economic Development Authority. 5. Signs are eligible for this program but must be in connection with a facade improvement project. 6. The following types of property are not eligible: • Tax delinquent • Special Assessment delinquent • Property in litigation • Property in condemnation or receivership • Tax exempt properties • Exclusively residential buildings • Properties zoned industrial • New construction projects (redevelopment and/or rehabilitation projects remain eligible) • Property considered non-conforming to the City's Code of Ordinances, unless the proposed improvements are intended to correct all the non-conforming issues. PROJECT APPROVAL GUIDELINES Program oversight and authority for grant approval is delegated to the City of St. Joseph Economic Development Authority. The Economic Development Authority will review and approve all grants based on the following guidelines: 1. A project for which an application has been received will only be reviewed if it is filled out completely and accompanied by photographs illustrating subject building(s) and property. 2. Multiple property owners must submit separate applications for each property/project. 3. Any business owner under a lease who submits and application must obtain and provide written consent of the property owner. 4. Preference will be given to projects which: • Will positively contribute to the City revitalization/renewal efforts • Will eliminate a blighting influence • Will result in a visible improvement that would not be made otherwise • Demonstrate a ratio of private investment to public investment greater than 2:1 5. Project is consistent with the Comprehensive Plan, transportation plans and other applicable plans. 6. Projects must be completed within a timely manner from date of official project approval (i.e. one year with a maximum extension of an additional six months). As indicated, dollars are limited and reimbursement will be made after project improvements are completed, and reimbursement requested. PROPERTY OWNER REQUIREMENTS Upon the application submittal for a project, the Applicant will play an important role in a partnership that includes the City of St. Joseph and the Economic Development Authority. The following may be required to review plans depending on the scope of the project: City staff, the Planning Commission, the EDA and the City Council. Those required to review the plans and/or grant application will review design drawings, proposed work specifications, and the architectural materials. Below are items that will be required of as part of completing your project. 1. Attendance at an informational meeting which will outline the entire project procedure. 2. Property owners' attendance at various meetings, reviews etc. with representatives of either the City or EDA to expedite various stages of the project. 3. The property owner must sign an architect/owner agreement prior to commencing construction to ensure their improvements are in accordance with the design approved by the City/EDA. 4. All work to be done on the project shall be the sole responsibility of the property owner. The City of St. Joseph/EDA administers the grant program herein and the City/EDA is not responsible for any work undertaken as a result of the design grant. The owner hereby holds the City and EDA harmless for any and all liability commencing out of any work constructed and paid for the design grant herein.